The Indian electronics sector is urging the government to continue its supportive policies as US-China trade relations ease, which poses a threat to India's export competitiveness. Following a recent dialogue between US President Donald Trump and Chinese President Xi Jinping, the US halved tariffs on Chinese fentanyl, narrowing India's cost advantage by 10 percentage points. The India Cellular and Electronics Association (ICEA) expressed concerns that if these tariffs are further reduced or eliminated, it could significantly impact India's attractiveness for investment and production under the Production Linked Incentive (PLI) scheme. Historically, India has benefited from a favorable position against China due to US tariffs on Chinese goods, which has driven a surge in electronics exports. However, the recent changes could reverse these gains and restore China's competitive edge in global manufacturing.